Jolinda Morris has a depreciable property with a capital cost of $225,000,an undepreciated capital cost (UCC) of $175,000, and a fair market value of $240,000.

Because of his exceptional performance during the last year, she gives this property to her common-law partner Biff.

What is the minimum increase in Net Income For Tax Purposes that Ms. Morris will record as a result of this gift if she does not elect out of ITA 73(1)?

A.

$65,000

B.

Nil

C.

$57,500

D. $7,500